Fees

Fee composition

TLX charges users a streaming, redemption, and potentially an exit load fee. Furthermore, users cover their portion of the rebalancing costs and the fees associated with the underlying perpetual futures contract on the Synthetix platform.

TLX does not charge a minting fee.

Streaming fee: 2.0%

The streaming fee is an annualized fee that is charged on the notional amount of a leveraged token position. It is charged directly to the position whenever a rebalancing event occurs.

Redemption fee: 0.3%

The redemption fee is charged on the amount of sUSD redeemed multiplied by the target leverage of the position.

Exit load: 1%

The exit load is a fee applied only if a user redeems a leveraged token within 5 minutes of minting it. The fee decreases linearly, starting at 1% and reducing to 0.5% after 2.5 minutes, reaching 0% after 5 minutes. If a user redeems a leveraged token from an address with no registered mint event (e.g., after transferring the token to another wallet), the full exit load of 1% is charged.

Fee distribution

The streaming and redemption fees are distributed to the staker contract and can be claimed by staked $TLX holders.

The exit load is redistributed to the remaining leveraged tokens when one is redeemed. Therefore, if an exit load is charged, it benefits the holders of the remaining leveraged tokens.

Protocol governance may alter the amount of fees charged.

Rebates

Users can unlock rebates by using a referral link. Rebates are calculated as a percentage of the redemption fee and can be claimed in the TLX rewards section.

Rebate: 35%

To learn more about the TLX referral program, please refer to the following section:

Referral Program